1 week ago
As hazard assets including cryptocurrencies struggled connected Thursday amid tariff uncertainties, tokenized golden erstwhile again emerged arsenic an outperformer successful the carnage.
The marketplace capitalization of gold-backed tokens swelled to conscionable nether $2 cardinal connected Wednesday, up 5.7% implicit the past 24 hours, according to CoinGecko data. The emergence coincided with the yellowish metallic concisely touching a caller all-time supra $3,170/oz, TradingView shows.
Alongside the terms rally, golden tokens experienced a frenzy of enactment and request implicit the past weeks, fueled by the broader marketplace turmoil. Weekly tokenized golden trading measurement surpassed $1 billion, the highest since the U.S. banking turmoil of March 2023, according to a study by integer plus level CEX.IO.
The 2 largest tokens, Paxos Gold (PAXG), Tether Gold (XAUT), making up the bulk of the tokenized golden market, saw their play trading volumes surging implicit 900% and 300%, respectively, since January 20, according to the study citing CoinGecko data. PAXG besides experienced continuous inflows totalling $63 cardinal during this period, DefiLlama data shows.
The rally tracks the broader gains successful carnal gold, which posted double-digit increases successful 2025 amid geopolitical uncertainty and ostentation concerns. However, adjacent golden wasn’t spared during the market-wide sell-off triggered by U.S. tariffs, with prices concisely dropping 6% earlier rapidly recovering to grounds highs.
Since Trump’s inauguration, tokenized golden has been 1 of crypto’s apical performing sectors, with its marketplace headdress up 21%, the study noted. By contrast, stablecoins gained a much humble 8% successful marketplace cap, portion bitcoin declined 19% and the full crypto marketplace mislaid 26%.
“Tokenized golden is emerging arsenic 1 of the cardinal diversification strategies among crypto-native users, alongside bitcoin," wrote Alexandr Kerya, VP of merchandise absorption astatine CEX.IO. "It provides a safer and much unchangeable attack to portfolio management, enabling users to enactment wrong the crypto ecosystem portion benefiting from the worth and stableness of the underlying carnal asset.”
"At the aforesaid time, the broader RWA communicative helps marque golden vulnerability much accessible and intuitive for users who whitethorn not person considered it before," Kerya added.
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